CBRE announced the sale of two office properties in Scottsdale, Ariz. to North Dakota-based Edgewood Real Estate Investment Trust for $85 million.
CBRE’s Barry Gabel and Chris Marchildon represented the sellers, Wentworth Property Company and Northwood Investors, in the transaction.
Developed in 2008 & 2009, Terra Verde I and Tower at Scottsdale Landing, located at 16767 N Perimeter Dr. and 8660 E Hartford Dr., total 269,064 square feet. The two Class-A trophy quality properties are 92 percent leased, offering the Buyer a consistent income stream from a 5-year weighted average lease term. The buildings are leased to a diverse and credit worthy roster such as Pulte Homes, BOK Financial, Annexus Management, Sagicor Life Insurance, and Pulice Construction among others.
“These properties are irreplaceable in the urban North Scottsdale core; you simply can’t build this type of product in this market today. We already own buildings within this business park and are excited to expand our portfolio in this exciting market, “said Danny Hanson, Executive Vice President for Edgewood REIT.
These best-in-class, multi-tenant office buildings offer recent capital improvements, high end tenant finishes, garage parking, building signage, and prominently visible Loop 101 Freeway exposure. Both buildings are located within the 260-acre, master planned, Perimeter Center Business Park, a business park that historically has achieved in excess of 90% occupancy during its tenure.
“Despite current capital markets and economic volatility across the U.S., best-in-class, strategically located office buildings, that are well leased to a roster of credit worthy tenants, are in high demand among investors,” said Gabel. “We received substantial interest for these properties for those very reasons. We are honored to have worked with Northwood Investors, Wentworth Properties, and Edgewood REIT, who all stood tall and executed seamlessly throughout the sales process.”
Added Marchildon, “These two Class A buildings offer strong credit worthiness, consistent and reliable cash flow, and are centrally located in the Scottsdale Airpark. The buyer is sure to achieve continued success for years to come.”